All posts by Turflinger

Boeing, Norwegian Finalize $5B Dreamliner Order

Airline / Travel

Largest single order for 787-9s from a European airline

Boeing and Norwegian have finalized an order for 19 787-9 Dreamliners valued at more than $5 billion at current list prices. The order also includes options for 10 more 787-9s, as the carrier looks to significantly grow its existing long-haul fleet into the next decade. It is the largest single order for 787-9s from a European airline.

Norwegian currently operates eight 787-8s and has previously ordered 11 787-9s through lease agreements. With today’s order, the carrier, headquartered in Oslo, will expand its total 787 fleet to nearly 40 airplanes in the coming years.

“This order of 19 new Dreamliners is a major milestone and enables Norwegian to offer a wide range of new routes to consumers worldwide. The order is also essential to further strengthening the company in the global competition,” said Bjørn Kjos, Norwegian’s CEO. “After two years of operating low-cost long-haul flights, our load factors have averaged in the nineties, which proves the demand for affordable flights between Europe and the US and Europe and Asia. Future growth and competiveness in the long-haul market depends on the fuel-efficient, state-of-the art 787 Dreamliner. Not least, the Dreamliner offers the best passenger experience.”

The 787-9 complements and extends the 787 family. With the fuselage stretched by 6 meters (20 feet) over the 787-8, the 787-9 can fly up to 20 percent more passengers and 23 percent more cargo farther yet with the same exceptional environmental performance – 20 percent less fuel use and 20 percent fewer emissions than the airplanes they replace.

“Norwegian has led the way in utilizing the exceptional performance of the 787 to develop a successful low-cost long-haul operation,” said Todd Nelp, vice president of European Sales, Boeing Commercial Airplanes. “The addition of 787-9s to the Norwegian fleet will enable it to grow its route structure, while providing more range and capacity with outstanding passenger comfort.”

The 787-9 leverages the visionary design of the 787-8, offering passenger-pleasing features such as the industry’s largest windows, large overhead bins with room for everyone’s bag, modern LED lighting, air that is cleaner, more humid and at a higher pressure for greater comfort and technology that senses and counters turbulence for a smoother ride.

Norwegian serves more than 130 destinations across Europe, North Africa, the Middle East, the USA and Southeast Asia, with a fleet that includes 90 Next-Generation 737-800s and eight 787-8s.

In 2014 the airline carried nearly 24 million passengers and has won numerous awards for its onboard service, including a SkyTrax award for ‘Best low-cost long-haul airline.’ With today’s order for 19 787-9s, Norwegian has more than 150 unfilled orders from Boeing, including 100 737 MAXs.

As White House and Senate GOP Face Off, Norway Ambassador Nominee Samuel Heins Waits

Government

WASHINGTON — In the ongoing political war between the White House and some Senate Republicans, Minnesotan Samuel Heins is caught in the crossfire.

Heins, a Minneapolis lawyer and Barack Obama supporter, was nominated by the president in May to serve as U.S. ambassador to Norway — a post that has sat vacant for two years. But a handful of Senate Republicans are vowing to block executive appointments in many departments, including several ambassadorships like Norway.

Earlier this year, Heins appeared to have an easy path to confirmation. He was a welcome choice after Obama’s initial nominee, New York Democratic megadonor George Tsunis, withdrew his bid in December 2014. Earlier that year, Tsunis’ candidacy was tarnished by a painful committee hearing in which he made several misstatements about the country and its politics.

NACC Celebrates Centennial with Gala

AmCham Norway

Liv Ullmann and Innovation Norway are honored at an event featuring Norwegian royalty.

It all started with fish. Long a staple of the Norwegians’ diet, it has also been one of the country’s largest export items, especially to the U.S. In 1915, with Norway just a decade old as an independent nation, the export to and import of items from America were threatened by the advent of World War I. The U.S. imposed an embargo on exports to Norway, fearing it could end up in enemy hands.

Out of this impasse arose the Norwegian American Chamber of Commerce.

“Norway was a young country in 1915,” said Inger M. Tallaksen, who has been involved with the NACC for 35 years, the last 27 as General Manager. “Fish (herring, mackerel, sardines, dry cod, and fish balls) was a main export of Norway. Shipping, shipbuilding, and banking were also important. In those days you could see a Norwegian ship in every port on the East Coast. The embargo impacted Norwegian trade. With the threat of the embargo and its dire consequences for Norway, the Chamber initiated trade negotiations in Washington, D.C., by inviting a delegation led by (Arctic explorer and Nobel Peace Prize recipient) Fridtjof Nansen. As a result of these negotiations, NACC was authorized to issue certification of cargo. The stamp from NACC was very important because it meant the cargo could not be searched and taken by warring countries. After World War I, NACC continued to fight for lower taxes and tariffs on items imported into the U.S. from Norway.”

Midwest-Telemark Cooperation Continues

AmCham Norway

A Midwest Business Delegation made up of representatives from North Dakota and Minnesota just visited Oslo. Jason Turflinger, Managing Director at AmCham Norway, invited the group to breakfast and a round table discussion. There where short briefings on AmCham, Norway House in Minneapolis, the Commercial Section from the U.S. Embassy in Oslo, Oslo Chamber of Commerce, Oslo Medtech, and former Member of Parliament and CEO for Norway of Burson-Marsteller Morten Pettersen.

AmCham plays an important role as an arena for sharing information, networking, and public events. It is a valued partner in the government’s work on strengthening the economic ties between the U.S. and Norway. The past few years have been exciting ones for investments in the U.S. The U.S. economy is growing and companies are expanding. As of July there have been 64 straight months of job growth. Norway has ranked as the fifth-fastest-growing source of Foreign Direct Investment into the U.S. for the last few years. According to the latest figures Norway is now the 12th largest. The U.S. is Norway’s most important trade partner, after the EU.

Utenriksminister Brende til Washington og New York

Government

I Washington vil utenriksminister Brende møte utenriksminister John Kerry, nasjonal sikkerhetsrådgiver Susan Rice, direktør for IMF Christine Lagarde, medlemmer av senatet og ledende representanter for amerikanske tenketanker. Brende vil også delta på et arrangement, hvor visepresident Joseph Biden er vertskap, til ære for tidligere visepresident Walter Mondale. Utenriksministeren vil i tillegg holde to innlegg om klimaendringer.

I New York vil Brende delta i den åpne debatten i FNs sikkerhetsråd om Midtøsten 22. oktober. Brende deltar sammen med flere andre utenriksministre. Møtet arrangeres av Spania som har formannskapet i Sikkerhetsrådet denne måneden. Utenriksministeren vil under besøket ha en rekke bilaterale samtaler, og han møter blant annet FNs visegeneralsekretær Jan Eliasson.

Keep calm og fortsett overføringene av data til USA, men…

Legal

Vi registrerer at det har kommet flere sprikende råd og utspill fra advokatstanden nå i dagene etter at EU-domstolen underkjente Safe Harbor beslutningen om overføring av personopplysninger til USA.

Selv om det kan være fristende å krisemaksimere konsekvensene av dommen, er det grunn til å peke på realistiske og gjennomførbare løsninger.

Heldigvis har ikke alt transatlantisk samarbeid sluttet. Men ansvaret som ligger på den enkelte bedrift som overfører opplysninger til USA, er blitt skjerpet.

Crowley Takes Delivery of First Aker Philadelphia Shipyard Tankers

Shipping & Offshore

Crowley Maritime Corp. took delivery of Ohio, the first of four new, Jones Act, product tankers this week from Aker Philadelphia Shipyard, Inc. (APSI), the wholly owned U.S. subsidiary of Aker Philadelphia Shipyard ASA.

The delivery is momentous not only for Crowley, but also for the industry because it signifies the first time a product tanker has been constructed with consideration for the future use of LNG for propulsion. The remaining three product tankers being built by APSI for Crowley are under construction and have planned deliveries through 2016.

“We are excited to offer our customers cutting-edge technology available in these new tankers, which not only embraces operational excellence and top safety, but also offers the potential to be powered by environmentally friendly LNG in the future,” said Crowley’s Rob Grune, senior V.P. and general manager, petroleum and chemical transportation. “Adding these new Jones Act tankers to our fleet allows us to continue providing our customers with diverse and modern equipment to transport their petroleum and chemical products in a safe and reliable manner.”

The new 50,000 dwt product tankers are based on a proven Hyundai Mipo Dockyards (HMD) design, which incorporates numerous fuel efficiency features, flexible cargo capability, and the latest regulatory requirements. The vessel is 600-ft long and is capable of carrying crude oil or refined petroleum products.

Crowley’s Seattle-based, naval architecture and marine engineering subsidiary Jensen Maritime is providing construction management services for the product tankers. Jensen now has an on-site office and personnel at the Philadelphia shipyard to ensure strong working relationships with shipyard staff and a seamless construction and delivery program.

Alcoa splittes i to selskaper

Chemicals / Metals

Alcoas styre har enstemmig vedtatt en plan for å skille Alcoa i to bransjeledende, børsnoterte selskaper. Vår vellykkede transformasjonsprosess gjennom flere år har forberedt oss på dette logiske, neste steget, som åpner for et nytt og spennende kapittel i vår 126-årige historie.

Klaus Kleinfeld vil lede det teknologi- og innovasjonsdrevne multimaterialselskapet som styreleder og konsernsjef. Han vil også fungere som styreleder for oppstrømsselskapet i den kritiske startfasen, noe som skal sikre en myk og effektiv overgang. De nye lederteamene vil bli kunngjort i de kommende månedene. Vi forventer å fullføre splittelsen i andre halvår 2016.

Oppstrømsselskapet, som de norske verkene mest sannsynlig vil bli del av, vil omfatte forretningsenhetene under Global Primary Products, herunder Alcoa Smelting, Alcoa Casting, Alcoa Energy Assets, Alcoa Refining og Alcoa Mining. Transformasjonen gjennom de siste årene har bidratt til å bygge et av de mest globalt konkurransedyktige selskapene i aluminiumindustrien. Dette skal videreføres i det nye oppstrømsselskapet, som vil være et Fortune 500-selskap og fortsette å operere under Alcoas navn.

Marathon Buys Aker’s Stake in Crowley Tankers

Shipping & Offshore

Marathon Petroleum Corp. (MPC) has agreed to buy Aker Philadelphia Shipyard’s stake in the Crowley Maritime Corp joint venture for the operation and chartering of four 50,000 dwt product tankers, which are valued at $150 million per vessel. MPC will take delivery of the four vessels by 2016’s third quarter.

The tankers are still under construction at Aker and the company intends to complete construction. But, it has sold its ownership position to Marathon for an estimated $110 million.

Aker and Crowley signed a joint venture agreement in 2013, which was valued at about $600 million to build four product tankers with options for additional vessels. In March, Aker and Crowley announced they had secured $325 million loan underwritten by a consortium of banks and financial institutions to finance the construction of the vessels.

The tankers will be Jones-Act qualifying vessels that are built at Aker and managed by Crowley including technical operation and commercial management of the ships.